Just Because the Market is Losing Money, It Doesn't Mean You Have To!

If you've been paying attention, even a little bit, you probably know that markets are having a rough year. As of February 11th the S&P 500 is down over 8% year to date. This is a significant drop and many people are wondering what to do. There are some that choose to simply ride it out, but at a rate like the drop we are seeing now, their losses are compounding and it could take a much longer time to even get back to where they started the year at. When the markets are dropping, what do you do to prevent your investments from dropping at the same rate?

At Sound Financial we are proponents of a Rules Based Strategy that works to properly manage your investments in periods of volatility like we are seeing now. These rules take into account a risk level that you are comfortable with and then based on real data (not emotion or what you hear on the news), make adjustments to help protect your investments. So when the market is performing poorly and down over 8% as we have seen, what if due to the actions of a data driven system your investments were only down half as much or possibly even a 1/4 as much as the market? These are realities that have been seen with a rules based strategy, and that allow an investor the opportunity to rebound quicker when the markets do turn. Of course nothing is guaranteed, but wouldn't it be worth it to take the time to learn about something that could help protect what you've worked a good portion of your life for? To learn more about our Rules Based Strategy, contact us at Sound Financial Strategies Group today and let us help you navigate retirement!

The opinions voiced in this article are for general information only. They are not intended to provide specific advice or recommendations for any individual and do not constitute an endorsement by APW Capital.

Neither diversification nor asset allocation can ensure a profit or protect against a loss. Past performance is not indicative of future results.

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All information herein has been prepared solely for informational purposes, and it is not an offer to buy or sell, or a solicitation of an offer to buy or sell any security or instrument or to participate in any particular trading strategy.